Sunedison Inc (OTCMKTS:SUNEQ) Settles Lawsuit with David Tepper

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Sunedison Inc (OTCMKTS:SUNEQ) shares were up 0.22% on Friday to $0.0503 and flat in after-hours trading. Share prices have been trading in a 52-week range of $0.04 to $10.07. The company has a market cap of $15.94 million at 316.94 million shares outstanding.

Sunedison Inc is a developer and seller of photovoltaic energy solutions, an owner and operator of clean power generation assets, and a developer and manufacturer of silicon wafers. It operates in three segments: Solar Energy, TerraForm Power and Semiconductor Materials.

Its Solar Energy segment provides solar energy services that integrate the design, installation, financing, monitoring, operations and maintenance portions of the downstream solar market for the company’s customers. Its TerraForm Power segment owns and operates clean power generation assets, both developed by the Solar Energy segment and acquired through third party acquisitions that sell electricity through long-term power purchase agreements to utility, commercial, and residential customers. Its Semiconductor Materials segment includes the manufacture and sale of silicon wafers to the semiconductor industry.

Back in January, one of Sunedison Inc’s largest shareholders, David Tepper of Appaloosa Management LP filed a lawsuit against the company to block its acquisition of assets from Vivint Solar. However, Vivint ended up canceling the deal and suing Sunedison Inc for failing to complete their end of the agreement. In April, Sunedison Inc filed for bankruptcy and TerraForm Power and TerraForm Global had been trying to separate themselves from the company.

In the settlement, TerraForm Power will segregate its information technology systems from Sunedison Inc and appoint an additional director of its board. In addition, TerraForm Power will grant TerraForm Chief Operating Officer Thomas Studebaker responsibility for ordinary course operations. However, Brookfield Asset Management, which has teamed up with Appaloosa, won’t be participating in the auction of the now-bankrupt company due to concerns over the process.

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